TERRORIST FINANCE: ABU SSAYYAF GROUP

S E C R E T ROME 003890 SIPDIS NOFORN STATE FOR EB/ESC/TFS:DBROWN, S/CT:TKUSHNER, IO/PSC:BFITZGERALD, EUR/PGI:LREASOR; EUR/ERA:KSHEARER, EUR/WE:AYOUNG NSC FOR JZARATE TREASURY FOR DGLASER OFAC FOR RWERNER, PLURIE, JYANG DOJ FOR FEDERAL PROGRAMS E.O. 12958: DECL: 11/23/2015 TAGS: EFIN ETTC IT KTFN PREL PTER ANTITERRORISM FORCE PROTECTION SUBJECT: TERRORIST FINANCE: ABU SSAYYAF GROUP PRENOTIFICATION AND HOTEL NASCO REF: A. STATE 210832 ¶B. ROME 03287 Classified By: DCM ANNA BORG BASED ON E.O. 12958 REASONS 1.4 B AND D ¶1. (S/NF) A/ECCOUNS and ECONOFF delivered November 23 Abu Sayyaf Group (ASG) prenotification (ref A) to Cristina Collura, Director, Prevention of Financial Crimes, Ministry of Finance (MOF),and to Giampolo Cantini, MFA Office Director for G8 and Global Issues. Both MOF and MFA officials said they would share the information with appropriate Italian law enforcement, intelligence, and financial oversight entities. Cantini said he did not expect much information to be forthcoming on the three ASG names. ¶2. (S/NF) Both Collura and Cantini brought up recent miscommunication on Italy's UNSC 1267 notification on Hotel Nasco (reftel B) and the embarrassment caused to Italy at the United Nations. Cantini said the miscues on Hotel Nasco, coming on the heals of the U.S. problems providing a timely response to Italy's July prenotification "concerned and disappointed" Italy. He said Italy takes the United Nations very seriously, and any "loss of public face" at the UN is deeply embarrassing. He informed A/ECCOUNS that Italy must consider suspending submission to the 1267 Committee of the two lists Italy was preparing; as things currently stand, he said, "there is no point." He suggested that Italy and the United States review procedures for pre-notifications and indicated that in the future Italy may require a letter of support from the United States before submitting additional names to the 1267 Committee. ¶3. (S/NF) A/ECCOUNS responded that the United States also takes the UN very seriously and precisely for that reason must weigh carefully a precedent-setting proposal, such as that of Italy on Hotel Nasco. A/ECCOUNS said the United States highly values Italy as a partner in combating terrorism, and acknowledged that the two recent miscues suggested room for smoother coordination. He suggested that Embassy Rome could host a video conference with MFA and MOF officials and their counterparts in Washington to improve communication flow. Cantini agreed that a DVC would be helpful. SPOGLI